題目

?Explain the significance of separating variances into planning and operational elements and the?problems which could arise.?

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考點(diǎn)：Chapter12Planningandoperationalvariances

?The planning and operational variance approach attempts to divide a total variance into a group of?variances which have arisen because of inaccurate planning or faulty standards (planning?variances) and a group of variances which have been caused by adverse or favourable operational?performance (operational variances).?

A planning variance compares an original standard with a revised standard that should or would?have been used if planners had known in advance what was going to happen. Planning variances?are uncontrollable (see below) by operational managers, but can be avoided through better?planning.

?An operational variance compares an actual result with the revised standard. Operational?variances are controllable by managers.?

Planning and operational variances are based on the principle that variances ought to be reported?by taking as the main starting point a standard which can be seen, in hindsight, to be the optimum?that should have been achievable. For example, in the example given in the question, the standard?direct labour rate should have been $12.48 rather than $12.00.??

Exponents of this approach argue that the monetary value of variances ought to be a realistic?reflection of what the causes of the variances have cost the organisation. In other words they?should show the cash (and profit) gained or lost as a consequence of operating results being?different to what should have been achieved. Variances can be valued in this way by comparing?actual results with a realistic standard or budget.??

Planning variances arise because the original standard and revised (more realistic) standards are?different, and these have nothing to do with operational performance. In most cases, it is unlikely?that anything could be done about planning variances: they are not controllable by operational?managers but by senior management.?

Problems?

The reasons behind why planning variances arise may need to be investigated. It needs to be?understood how certain pieces of information get missed or otherwise omitted from the standard?setting process.?

It can also be too easy to justify all the variances are being due to bad planning, so no operational?variances will be highlighted.?

It is difficult to decide in hindsight what the realistic standard should have been, and establishing?retrospective standards is time consuming.?

多做幾道

?Actual overheads cost $180,000 and 40,000 machine hours were worked.?

Actual overheads cost $170,000 and 40,000 machine hours were worked.?

材料全屏

A company makes and sells a single product. At the beginning of Period 1, there are no opening?inventories of the product, for which the variable production cost is $4 and the sales price $6 per unit.?

There are no variable selling costs. Fixed costs are $2,000 per period, of which $1,500 are fixed?production costs. Normal output is 1,500 units per period. In Period 1, sales were 1,200 units, production?was 1,500 units. In Period 2, sales were 1,700 units, production was 1,400 units.?

Required?

Prepare profit statements for each period and for the two periods in total using both absorption costing?and marginal costing.?

5

【論述題】

Prepare profit statements for each period and for the two periods in total using both absorption costing?and marginal costing.?

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RH makes and sells one product, which has the following standard production cost.??

? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ?$?

Direct labour? ? ? ? ? ? ? ? ? ? ? ? ? ? ? 3 hours at $6 per hour? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? 18?

Direct materials? ? ? ? ? ? ? ? ? ? ? ? ?4 kilograms at $7 per kg? ? ? ? ? ? ? ? ? ? ? ? ? ? ? 28?

Variable production overhead? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ?3?

Fixed production overhead? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? 20?

Standard production cost per unit? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? 69?


Normal output is 16,000 units per annum. Variable selling, distribution and administration costs are 20%?of sales value. Fixed selling, distribution and administration costs are $180,000 per annum. There are no?units in finished goods inventory at 1 October 20X2. The fixed overhead expenditure is spread evenly?throughout the year. The selling price per unit is $140. Production and sales budgets are as follows.??

? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? Six months ending? ? ? ? ? ? ? ? ? ? ? ? ? ? ?Six months ending??

? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ?31 March 20X3? ? ? ? ? ? ? ? ? ? ? ? ? ? ? 30 September 20X3

Production? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ?8,500? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ?7,000?

Sales? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? 7,000? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? 8,000?

6

【論述題】

Prepare profit statements for each of the six-monthly periods, using the following methods of costing.?

Marginal costing?

Prepare profit statements for each of the six-monthly periods, using the following methods of costing.?

Absorption costing?

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